Grant Aldonas, U.S. Commerce Under Secretary for International Trade.

New Orleans -- Trade opportunities for U.S. manufacturers are drying up in Central and Latin America, says Alberto Meija, Intermarine Inc.'s manager of marketing services. But he's staying the course and remains hopeful that a rebound is due in the spring.

"We have to have faith in our core competency and remain ready for an improvement in the various economies," he says. "We've been through this before, and we know how important it is to remain ready for recovery."

Manufacturers of heavy project goods are not the only ones concerned about the slump in commerce with Central and South American nations. Concurrent with last October's meeting here of the Produce Marketing Association, produce shippers were also joining Bush Administration trade officials in urging Central American economic reforms to restore trade.

Grant Aldonas, U.S. Commerce Under Secretary for International Trade, stressed the importance of the private sector in encouraging the conditions necessary to harness increased trade and prosperity through a Central American Free Trade Agreement with the region. Aldonas delivered his remarks before senior government and business leaders at the CompromisoCentroAmerica trade and investment forum in Managua, Nicaragua.

"Trade is a cornerstone of democracy," Aldonas says. "While trade promotes the rule of law, it also promotes a free and stable government that protects the rights of individuals and institutions. It is the role of government not to create wealth, but to create an environment in which the entrepreneur can flourish. To do so, government must enact tax and other regulatory changes that make equity more enticing than debt, and promote capital formation and investment."

Aldonas says the U.S. economy remains fundamentally sound, and that Central America, through strengthened economic ties with the United States, will help build a future of tremendous economic opportunity.

"President Bush and I believe that economic freedom is the foundation for individual success and prosperity," Aldonas said. "At its root, trade is about human freedom--the freedom to interact, innovate, and exchange goods and services without interference from the state--and governments must protect these principles."

Aldonas said the benefits of a Free Trade Agreement involve more than buying and facilitating goods, but require a commitment to the rules of engagement for investment and good governance and will cover areas such as services, investment, and intellectual property.

"Each of us, particularly those of you in the private sector, can be a champion for change--with your governments, colleagues and customers. You, as leaders of the Central American business community, have an opportunity to encourage the enactment of sound policies that promote growth, transparency and strong institutions."

On a more hopeful note, Aldonas and Costa Rican Minister of Foreign Trade Alberto Trejos recently signed a joint statement aimed at boosting commercial cooperation between the two countries. The agreement will build on a business climate that generated $5.4 billion in U.S.-Costa Rican trade last year.